Gas and power systems comfortable – DMR

The UK gas and power systems have opened comfortable this morning, according to npower’s daily market report.

However the linepack is forecast to close 5mcm oversupplied today.

Tim Carter from npower’s Optimisation Desk said: “Demand is still being heavily suppressed by the warm temperatures with additional demand generated through continued strong exports through IUK and some slight injections into storage.”

On the power system, peak margins are at 15GW and wind is generating around 4.5GW.

Mr Carter added: “Wind generation is again not quite living up to forecasts so those margins may be squeezed a touch through the day by the increase of CCGT demand but it won’t provide much hope for market bulls.”

The French interconnector is at full capacity and the Hartlepool nuclear reactor is back online.

Oil is currently trading at $36.6 (£24.5) per barrel.

Mr Carter said: “The oil the market has halted a decline near six year lows most likely simply through technical buying rather than any fundamentals.”